WTI (Dec) $59.43 -17c, Brent (Jan) $63.38 -14c, Diff -$3.95 +3c
USNG (Dec) $4.36 +13c, UKNG (Dec) 82.3p +0.25p, TTF (Dec) €31.43 -€0.06

Oil price

The oil price is slightly better today but will still end the week around a dollar down. The inventory stats rather put the cat among the pigeons, both the API and the EIA reported big builds in crude oil but decent draws in gasoline and smaller in distillates.

Commentators seem to be falling into a negative stance, some not seeing sanctions working others thinking that the market is over supplied right now, even Javier Blas is bearish….when all analysts agree it is normally wise to be cautious about their combined intelligence….

Corcel

Corcel yesterday confirmed that, further to the announcement made on 30th April 2025, it has now received final ministerial approval of the Environmental Impact Assessment, granting the full Environmental Licence to proceed with seismic acquisition within the KON-16 Block, onshore Angola. In addition, the Company is also pleased to confirm that, further to the announcement of 16th September 2025, it has now signed, through its subsidiary Atlas Petroleum Exploration Worldwide Ltd, a contract with B.G.P. GEOPHYSICAL LIMITADA, LDA, and BGP INC., CHINA NATIONAL PETROLEUM CORPORATION (“BGP”) for all services related to the upcoming 2D seismic acquisition program within the KON-16 Block. With both the Environmental Licence issued, and the BGP contract signed, seismic acquisition operations will commence shortly.

The Company can also confirm that, since the scope of the Environmental Licence covers both the seismic acquisition and drilling, the Company now has all the environmental permits required to complete both seismic acquisition and exploration drilling activities within KON-16.     

Highlights: 

• BGP to acquire 326-line km of 2D seismic data over the KON-16 block, onshore Angola.
• Seismic processing scheduled to occur during Q1 2026, with initial results expected to follow in Q2/Q3 2026. Contract expected to be awarded for the seismic processing by the end of 2025.
• The Company now has all relevant environmental permits to allow it to complete seismic acquisition and exploration drilling operations within KON-16. The receipt of Environmental Licence to cover the exploration drilling is significant and allows the Company to efficiently move towards drilling operations without the need to obtain additional environmental permits.
• Acquisition of 2D seismic data will allow the Company to advance its aim of drilling a high-impact well within KON-16.

Richard Lane, Corcel COO, commented: 
“Receiving approval to conduct both seismic acquisition and exploration drilling activities within the KON-16 block is a major milestone for Corcel, setting us on the path to drilling a high-impact exploration well. We are also very excited to have signed the seismic acquisition contract with BGP – another major milestone –  marking Corcel’s first significant operational activity as operator of the KON-16 block. The mobilisation of the seismic team and the imminent start of the seismic program signal the real start of on-the-ground operations. This is an important step for Corcel as we move from planning to execution, and we look forward to keeping shareholders updated as activity ramps up.”

Continued good news from Corcel who have secured the final required environmental approvals which cover both the 2D seismic programme (they have instructed BGP for the work) and the exploration drilling programme, currently planned for next year. The seismic programme involves some 326 line-kilometres and will start straight away ensuring processing hopefully in Q1 2026, with results  expected in 2/3 Q.

The extra seismic, combined with existing data which will accentuate the already identified leads will mean that the company can work up prospects from a standing start. The company are now soundly financed, the earlier raise combined with the warrants exercised at huge premiums will ensure that they are now fully funded through to drilling when I expect them to consider a farm-out in order to secure a partner for the next stage of this exciting programme.

I have been a big fan of Corcel since the very start when they showed significant promise under new management with high quality backers and good acreage onshore Angola. They are in the Bucket List for that potential through to drilling next year, the shares are up 80% in 6 months and 140% in the year-to-date and they have optionality across the board.

Background Information:

The onshore Kwanza basin has 2,589 line-km of good quality 2D data acquired in 2010 and reprocessed in 2025. Specifically, over KON-16 there are 143 line-km of good quality 2D data. Acquiring 326 line-km of new 2D data will provide a 227% increase in seismic coverage inside KON-16 which will greatly increase the subsurface imaging and prospect definition. 

The 2D seismic acquisition project at KON-16 is essential to progress the asset to drill ready status. Current modern 2D line spacing averages >14 km in the areas of interest, and while this is sufficient to identify prospectivity, especially when integrated with the eFTG (high resolution gravity gradiometry) data acquired in 2024, a closer 2D line spacing is desirable when moving on to drilling.

The seismic campaign has been designed to cover specific prospects high-graded by the Corcel team, and to build on the work done this year integrating the legacy 1970’s 2D data, the modern 2010 2D seismic data (which was recently reprocessed), and the 2024 eFTG data. BGP were selected to complete the work at KON-16 after the results of a competitive bidding process where multiple companies bid to participate in the project at KON-16. BGP are an experienced seismic acquisition company, with a team already active in the Kwanza Basin, Angola.

Original article   l   KeyFacts Energy Industry Directory: Malcy's Blog